''What is it that makes someone good with money? blog discussion

ceridwen

I've taught myself to be good with money. My parents arent bad with money - they made sure they owned their own home and I would be very surprised if they ever had a penny of debt.

I think I'm a lot better with it than them

I've had to contend with rarely being on reasonable income and most of the time being on downright low income - coupled with being single and living in a dear area. So - I've certainly HAD to learn (ie because of outside factors).

Its not been easy. It even took a while for my parents to "get" just how low an income I'm on - rather than making assumptions as to what I could afford to get and wondering why I didnt get it...:(. hence why they know exactly what my salary is (because of the number of times I've had to say "On £x pa I cant afford so-and-so - so I cant have it.")

Where have I learnt to be good with money?
- the message that got put over in Sociology lessons about deferred gratification (with the implied value judgement of "Thats what middle class people do....":rotfl:- Obvious reaction "Right - thats what I do then....:)")

- having been unemployed and seen JUST how low benefit money is for childless people:eek:. I knew I simply wouldnt "survive" financially if I didnt literally watch every penny:(:mad: (gawdaloneknows how childless people manage on the even lower levels of benefit money paid these days...:eek: - as I doubt that I could do so at all).

- the realisation of just how vulnerable one is to losing a job and just how bad employers can be within the context of keeping a job. I have been watching work conditions deteriorating steadily for some years now and that its no longer possible to walk out of one job one day and into another one the next day (as was the case when I first started work). It does help a lot to know that employers havent got me as totally "over a barrel" as they have many other employees. I made sure I couldnt be as badly hit as many employees would be if they lost their job - and I've got S*d You money by me as well. So - when I see something I "want" to spend money on I tell myself "Do you really need it/particularly want it? (ie because not buying it means I'm a little bit more secure financially/a little bit more able to tell employers what I will or WON'T put up with from them).

I think thats the main thing that keeps me on the financial "straight and narrow" actually - ie that my financial priority is to be as free as possible from being reliant on employers. There is also the fact that I'm well aware of the state of the NHS - hence I try to stay as financially straight as possible in order to have the money available to me when I need it to be able to go outside the NHS for healthcare. It helps a lot to know one CAN get healthcare WHEN its needed and to the correct standard (rather than having to be at the whim of the NHS putting people on waiting lists here and providing substandard treatment there).

ceridwen

...and I nearly forgot THE most important reason of all as to why I am careful with money. I knew I simply was not going to be able to cope financially with the double whammy of being in low-paid jobs AND living in a dear area unless I either:

- got pretty darn good with money pretty fast

OR

- got married (so that there would be a second salary coming in to pay the mortgage and bills, etc)

OR

- moved to a cheaper area

I wanted to ensure that I would not get married "for the wrong reasons" and I didnt see why I should move against my will - which only left one option on the table (ie getting good with money fast).:rotfl:

Kered

I am not 'naturally' good with money, it has been a long bumpy road to where I am now and even at that I still have the occasional mad impulse buy of something that I will use once ane then hide in a cupboard somewhere.

I went from a teenager spending all my wages as soon as I got them then eeking out a pittance until payday came round again on to a twenty-something running up debts on credit cards and overdraughts as well as loans that I could have done without taking on.
I started to settle down in my thirties, only taking on debt that I knew I could afford and I was a lot more organised about my finances then in my forties, I made strenuous efforts into getting rid of all my debt (including mortgage) this meant doing 3 jobs at one point and all the overtime I could get.
I am now in my fifties and debt free, able to handle any financial crisis that comes my way and saving towards an early retirement.

What made me good with money?
I would have to say experience, all the advice I got when young did not really mean much to me at the time, it was not until I had made the mistakes that I realised what was meant by the things I was told.

GreyQueen

When my health problems were at their worst, I spent 7 consecutive years on benefit. It's grim, particularly as I was renting in the private sector and had to top up my housing benefit to cover the rent. Been there, done that, got the tee-shirt. Health a bit better now, working half a job, but consultant warns things could worsen any time. Makes for anxiety, a concern to squirrel a bit away to cushion the blow if I can't work for medical reasons. Of course, like any of us I could lose my job because of factors completely beyond my control. A certain level of caution, particularly in such times, is common sense to me. I'm on my third major recession since I left school and just groan and think......"here we go, AGAIN!"

fcatarina

Being good with money is a hard choice.
It depends what you wanna do with it.
If you want to save up for something big then people must cut down on their bills, spend less on "gadgets" as we say and in the long run money will start to increase in your savings. However if your intentions are to get gadgets every month then there isnt much to do is there? You just buy your gadgets, but whoever this person has to make sure that the earnt money is enough otherwise bank loans start to come in and all of a sudden you're in great debt.
I am currently saving/fundraising for a charity trip abroad and it takes a lot of effort, currently my money is only spent on things that i ABSOLUTE need, and if I dont need it then I wont buy it. It's hard when you see all your friends going out, spending money on enjoying themselves and you can't.
So I'd say good saving up is when you only spend money on the things that you ABSOLUTE NEED!

PS:
If it's not of much hassle, i am fundraising for a marine biology cause. All information is on the link below, could please be so kind and maybe taking a keen interest in helping?
ww.justgiving.com/Fatima-Da-Luz


Thank you

wildthing01

katsu wrote: »

I think it is a lot easier to be good with money when you have enough to meet your needs.

that's quite interesting - I'd say it's the opposite with me! i'm much more inclined to make an effort to be good with my money when i know i haven't got much - it's that that motivates me not to spend on unecessaries. when i have more in the bank, i relax a bit and then i tend to spend a bit too much on things i don't really need.

Student_of_£

I used to be really bad with money, spent money on silly things, never checked my balance or statements... I was just a spendthrift.
It came to a head when I needed an overdraft in order maintain my spendind. I spent 7 months living on tesco value and hardly going out in order to pay back my overdraft.
Since I have paid my overdraft, I have saved as a matter of course and now have an ISA which is growing by the month.

There are a mixture of factors which influence how people deal with money. Mine, were the fact I lived in a single parent family, we never went without, but we were never well off, I was never given pocket money or taught how to handle money. When I got a job at 16, I just saw the money as my hard earned cash and spent as I wished, I now wish I had saved. My brother at the age of 27 continues to be a spendthrift, always coming to me to make up the shortfall after he's drank his money away... I am so glad I have become a saver!